answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
trasher [3.6K]
2 years ago
15

Janicex co. is growing quickly. dividends are expected to grow at a rate of 24 percent for the next three years, with the growth

rate falling off to a constant 6 percent thereafter. if the required return is 11 percent and the company just paid a dividend of $1.90, what is the current share price
Business
1 answer:
jasenka [17]2 years ago
4 0
Answer: $ 63.30 ± 1%
You might be interested in
Beachside co. sells two products, skis and snorkels. last year beachside sold 12,600 units of skis and 23,400 units of snorkels.
Nimfa-mama [501]

Total No of Units=12600+23400

=36000 units

Ski=12600/36000=35%

Snorkel=23400/36000=65%

7 0
2 years ago
Which of the following statements provides a summary of cash receipts and cash payments for a specific period of time such as a
AleksAgata [21]

Answer:

Option B                              

Explanation:

In simple words, cash flow statement refers to the financial statement in which an organisation depicts its sources and uses of cash for a specified period of time such as month or an year.

In this statement the inflows and outflows are categorized into three categories. Any cash flow from core business activities is grouped into operating activities section. Whereas cash flows from sale and purchase of machinery is categorized as cash flow from investing activities while transactions related to shareholders is recorded in financing activities section.

3 0
2 years ago
(6) Erik receives an eight-year annuity-immediate with monthly payments. The first payment is $300 and payments increase by $6 e
Tamiku [17]

Answer:

  • <u>$70,264.03</u>

Explanation:

You need to calculate the value of 8 × 12 = 96 different cash flows.

There is not a formula to calculate that, because the<em> $6 dollar increase</em> does not represent growing with a constant rate.

The monthly payments are:

Month            payment ($)

0 (today)             300

1                           306

2                          312

3                          318

n                          306 + 6 (n-1)

96 (last)               876

Then you must create a spreadsheet with these features:

  • Five columns
  • First column is the month, and starts with month 0 (today)
  • Second column is the initial balance, the first balance is 0
  • Third column is the interest: it is calculated as the monthly interest by the initial balance. The monthly interest is 6%/12 = 0.06/12 = 0.005
  • Fourth column is the amount deposited: for month zero it is $300, and every month you add $6.
  • Fith column is the final balance: it is the sum of the initial balance (second column) + interest (third column) + deposit (fourth colum)
  • 96 rows: 8 years × 12months/year = 96 months.
  • The initial balance of each row is equal to the final balance of the previous row.

Here a sample of the first three rows:

Month  Initial balance  Interest                    Deposit     Final balance

 0                  0                   0                          300          300

 1                 300             300×0.005 = 1.5    306          607.5

 2                607.5          607.5×0.005           312          922.54

When you do it up to the row 96, the final balance is <em>the balance in the acccount at the end of the eight years</em>.

The last row of your spreadsheet will show:

96           69,042.81      345.21                    876         70,264.03

Thus, <em>the balance at the end of eight years will be $70,264.03</em>

7 0
2 years ago
Marko, Inc., is considering the purchase of ABC Co. Marko believes that ABC Co. can generate cash flows of $4,800, $9,800, and $
Harrizon [31]

Answer:

$23,977.29

Explanation:

In order to determine how much Marko would be willing to pay, we have to calculate the present value of the ABC Co.

Present value is the sum of discounted cash flows

Present value can be calculated using a financial calculator:

Cash flow in year 1 =$4,800

Cash flow in year 2 = $9,800

Cash flow in year 3 = $16,000

I = 11%

Present value = $23,977.29

To find the PV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

7 0
2 years ago
Your friend has prepared his monthly budget and asks you if he has overlooked anything in this planning. Which of the following
Mandarinka [93]
The best and most correct answer among the choices provided by the question is 
The statement that points out his most serious omission is "<span>What if the electric bill increases?".


</span>I hope my answer has come to your help. God bless and have a nice day ahead!
6 0
2 years ago
Read 2 more answers
Other questions:
  • Ana is thinking about putting $200 in a savings account that earns 4% interest compounded semiannually. She wants to keep that m
    11·2 answers
  • Uan recently completed 20 years of service in the army. during this time, he managed to save a little money and is entitled to a
    10·1 answer
  • Ben and Sam Jenkins formed a partnership. Ben contributed $8,000 cash and a used truck that originally cost $35,000 and had accu
    15·1 answer
  • Curtis created his own restaurant equipment company, supplying the greater Denver area, five years ago. Until now, he has, never
    6·1 answer
  • During the current year, Swallow Corporation, a calendar year C corporation, has the following transactions. Income from operati
    10·1 answer
  • b. When launching a new brand, we discussed in lecture that it is best to build the brand first with PR, and then sustain it wit
    7·1 answer
  • Accounts receivable turnover and days’ sales in receivables For two recent years, Robinhood Company reported the following: 20Y9
    15·1 answer
  • In what areas is Leslie's underspending<br> hurting her budget?
    6·2 answers
  • Hi Jennie, As you may know, Macy’s is in a battle with Abercrombie &amp; Fitch for sales among 15- to 20-year-old female custome
    11·1 answer
  • Priyanka is a branch manager at a bank in town. She hires Hudson, who comes with strong references and several years' experience
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!